The XYZ Corporation will have sales of $60 million at the end of each of the next two years. It has operating expenses of $20 million per year at the end of each of the next two years, and it knows it will have liability costs of $8 million at the end of year one and $22 million at the end of year 2. If the tax rate is 40% and the time value of money is 10%, find the present value today of cash flows for the two years a) if it cannot qualify as an insurance company and hold reserves for tax purposes; and b) if it can hold reserves for tax purposes.